Visa offers support to e-tailers

Internet transaction fraud to be cut by 50 per cent...

Credit card company Visa International is taking on liability for internet fraud using its Visa cardholder-authentication program. The same guarantees afforded to high street retailers will also be offered to online retailers in order to help reduce internet fraud, as Visa will operate live authentication procedures. Online retailers are held responsible for compensating defrauded cardholders, but through Visa's authenticated payment program 50 per cent of disputed internet transactions will be cut as the program will prevent consumers from denying purchases that they in fact made, according to Visa. A Visa spokesman said in addition to shifting liability for disputed transactions to the card issuer, Visa will offer participating merchants lower interchange than they are usually charged for web transactions. Credit card company MasterCard International announced a similar initiative in July this year.